Currently, Intel produces the 1.6GHz Atom 330 microprocessor and rumor on the street is that Intel’s new dual-core processors will join the Atom 500 series of chips. These new chips will have integrated memory controllers and integrated graphics, and potentially support 720p.

According to Otellini, “there will still be significant growth in the netbook business year-over-year.” The dual-core Intel processors will be released in the second quarter, right before the holiday season. Netbooks featuring dual-core chipsets are expected to start selling before the end of the year.